why do we have money? why cant we just make things, and get things as we need them?

Question

ya know?
why do we need the money to produce things so that consumers need the money to buy things and so that people are poor and living on the streets? why cant we just get rid of money, and just get what we need whenever we want or whatever? ya know?

Answer 1

i totally agree. this would virtually get rid of greed, cuz no1 is better than the other. u just go into a store, get wat u need and leave. there would be no poor ppl and no rich ppl. it would b such a better environment, and community. no1 would get robbed anymore.

there is only 1 problem w/ this whole theory: ppl would not want 2 work, and nothing would get done, b-cuz there is no motivation or drive

Answer 2

The answer is that money shouldn't really matter. But it is the most effecient way of exchanging products.

People would produce things and people would consume things that make up a society. However, you would then have to exchange things instead. Thats is inefficent - how would you settle a contract for a house - 10 cows? What if the cows are old and worthless? Money is trusted as a constant fragment of value of all the production and the means to produce in society.

Money should represent all the production and consumption in society - it acts just like a tiny fragment of the pool of all production. If a nuclear bomb hits, gold, diamonds or 10000 bills are worthless - there is no production to exchange it for!
When you produce and recieve income - you can then consume what you want.
All production is income. Your wages are fragments of this.
As the pool of production and the money fragments rise in line, your wages rise. (unless the population rises to depress wages).

If the fragments match the same amounts of production, money is worth the same.
The problem is when there is a drop in production and more money is printed to stop a temporary period of unemployment.

Unfortunately the central banks often keep printing lots of money, shrinking the fragments of the pool of production, which is why we have a rate of inflation.

Because the rate of inflation is now understated, its pretty pointless saving your fragments of production, for a long period of time.

Most people do not object to supporting people out of poverty, helping them gain a useful income and produce things others want, with taxes, but because they print lots of money inflation creates lots of people who find their fragments of production smaller and smaller as others benefit from the extra printed money made from thin air, in the banking system (this is called 'high powered' money as it has more purchasing power when spent than the poor worker who recieves it for his production).

Answer 3

Moeny is what makes the world go around But I agree with you

Answer 4

Sounds good!

Answer 5

bcoz I may only need a tv & be and you may only want or need a cup of sugar

Answer 6

I really don't know
Money makes people greedy

Answer 7

bad deal we need money

Answer 8

damn thats a really good and thought provoking question